Petroleum in Rajasthan: Petroleum Exploration & Development activities begins in Rajasthan mainly after the largest oil discovery of Mangla 2004 in Barmer-Sanchore Basin in last two decades of the Country. Presently, exploration for Oil, Gas & CBM is underway in 12 Blocks of Rajasthan by National / Multinational Companies covering about 60,000 Sq. Km. area. Thus, Rajasthan has the maximum on-land area of the Country under exploration.

As per the latest estimates of Cairn India, Barmer-Sanchore Basin has resource base of 6.5-7.2 billion barrels (i.e. about 900-1000 MMT) of oil equivalent.

Commercial Production of crude oil commenced from Mangla Field from 29th August, 2009 and at present 1,65,000 bbls per day is being produced from Mangla, Bhagyam, Saraswati & Raageshwari fields.

Development of Heavy Oil Resource in Rajasthan

25.00 MMT of Heavy Oil & 53.00 MMT of Bitumen in-place reserves have been assessed in Bikaner-Nagaur Basin by Oil India Ltd for which Oil India Limited has entered into an agreement with PDVSA company of Venezuela for its exploitation.

About 0.78 mmscmd Natural Gas is being produced by OIL & ONGC from Tanot & Manhera Tibba areas of Jaisalmer Basin for the supply to 110 MW Ramgarh Power Plant.

Focus Energy has entered into an agreement with GAIL (India) Ltd and Rajasthan Rajya Vidhyut Utpadan Nigam (RRVUN) for supply of 0.95 mmscmd of Natural Gas to 110 MW Ramgarh Power Plant and its proposed additional unit of 160 MW.

Presently, 0.95 mmscmd natural gas is being produced from SGL Field (Shahgarh area) for existing unit of Ramgarh Power Plant.

Production of gas is initiated from Raageshwari Field of Barmer Basin, which is utilized for company’s internal petroleum production operations.

Petroleum & Natural Gas Regulatory Board (PNGRB) has identified cities/towns of the State for development of city gas distribution network projects.

After issuance of “Expression of Interest” PNGRB has authorized GAIL (India) for establishment of city gas distribution network in Kota city.

GAIL has commissioned CGD network in Kota city for domestic and commercial use. 1 CNG station is in operation and planned to have 4 more.

Revenue from Petroleum Sector

Petroleum Sector has now become the important source of Revenue in the State since commercial production of crude oil & natural gas from Barmer-Sanchore Basin has commenced from 29.08.2009 & 23.03.2013 respectively and production of natural gas from Jaisamer basin has been enhanced.

Revenue is accrued in terms of royalty on production of crude & natuaral gas, PEL fees, dead rent etc.

However, the Revenue enhanced during 2012-13 is 5069.88 crores as per production profile of 175,000 barrels per day and during year 2013-14 is Rs 5953.11 crores against the target of Rs. 5500 crores.

In the year 2014-15 revenue occured Rs. 4848.70 against the target of Rs. 5300 crorers. Revenue Target for 2014-15 could not achieved due to rapid fall in crude prices and dollar exchange rate. During the F.S 2015-16 Revenue occured Rs 2341.43 cr